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U.S. dominates global construction pipeline

American projects make up 38 percent of the total, followed by China with 24 percent

Ed Brock
By Ed BrockAug 28, 2020
Ed Brock
Ed Brock is an award-winning journalist who has worked for various U.S. newspapers and magazines, including with American City & County magazine, a national publication based in Atlanta focused on city and county government issues. He is currently assistant editor at Asian Hospitality magazine, the top U.S. publication for Asian American hoteliers. Originally from Mobile, Alabama, Ed began his career in journalism in the early 1990s as a reporter for a chain of weekly newspapers in Baldwin County, Alabama. After a stint teaching English in Japan, Ed returned to the U.S. and moved to the Atlanta area where he returned to journalism, coming to work at Asian Hospitality in 2016.
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THE U.S. TOPS the global hotel construction pipeline in terms of project count, according to Lodging Econometrics. Overall, the pipeline increased 5 percent by projects and 4 percent by rooms over the same time last year with several stages of the pipeline hitting peaks by project and rooms counts.

LE’s most recent Global Hotel Construction Pipeline Trend Report released Thursday found the pipeline contains 14,779 projects with 2,412,736 rooms. There were 1,230,572 rooms in 6,896 projects under construction, all-time high. Another peak is in projects scheduled to start in the next 12 months with 4,599 projects and 651,133 rooms at the end the second quarter. There are an additional 3,283 projects and 531,031 rooms in the early planning stage of the pipeline.

U.S. projects made up 38 percent of the pipeline with 5,582 projects and 687,801 rooms. China was second with 3,574 projects and 647,704 rooms, or 24 percent of the pipeline, meaning both countries make up 62 percent of the total pipeline.

The UK was a distant third with 350 projects and 52,398 rooms followed by Indonesia with 345 projects and 56,373 rooms and Germany with 296 projects and 39,645 rooms.

Four of the top six cities in the world were in the U.S., including Los Angeles with 163 projects and 27,415 rooms; Dallas with 158 projects and 19,314 rooms; New York with 151 projects and 26,302 rooms; and Atlanta with 135 projects and 18,634 rooms.

The top companies are Marriott International with 2,682 projects and 452,459 rooms; Hilton Worldwide with 2,532 projects and 378,124 rooms, InterContinental Hotels Group with 1,798 projects and 263,057 rooms, and AccorHotels with 886 projects and 157,362 rooms.

“These four companies account for 53 percent of all projects in the global pipeline,” the report said.

Marriott, Hilton and IHG also dominated the U.S. hotel construction pipeline in the second quarter, LE released earlier.

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